UK vs Estonia corporation tax

HOW MUCH TAX YOU PAY FROM NOT DISTRIBUTED PROFITS

19 % UNITED KINGDOM

You pay 19% CT from Net Profits if you have british limited liability company (LTD) in United Kingdom

0 % ESTONIA*

*This is not a tax rate. If you don’t pay a dividend to the company shareholder, you pay nothing to tax.

UNITED KINGDOM

INCORPORATION

Fully remote incorporation via WebFilling Portal

SHAREHOLDERS

At least 1 shareholders – may be a legal person.

STATE FEE

£10 – WebFilling fee or £40 by paper

DIRECTORS

At least 1 director – natural person.

BANK

Troubles with British high-street banks.

SELLING SHARES

You do not need notarial agreement.

ESTONIA

INCORPORATION

Remotely only if you are e-Resident card holder. Another way is the incorporation by Power of Attorney

SELLING SHARES

The notarial procedure is applicable. You need to visit a local notary or issue POA for representing you.

DIRECTORS

At least 1 director – natural person.

STATE FEE

190€ via e-Residency card

BANK

The opening of a bank account in Estonia is hard, but still possible.

SHAREHOLDERS

At least 1 shareholders – may be a legal person.

BREXIT ALTERNATIVES
Are you ready for Brexit UK? Do you have any alternative? Do not let you lose access to the European Union market and establish a company in Estonia.

OUR SIMULATION

We have 100 000 GBP net profit annually. We are a startup that operates in the IT area. We earn GBP 100,000 annually. The assumption of our calculation is the investment pro model. We will not pay any dividends. We also do not want to incur costs to minimize taxes only to accumulate capital. We will now compare Great Britain and Estonia with Tax Corporation tax.